Crypto Sell-Off Wave: ETH Decline and BTC Recovery

The recent selling wave in crypto markets is affecting balance sheet losses, spot Bitcoin ETFs, and mining infrastructure. Ether (ETH) price fell below 2,200 dollars, pushing BitMine Immersion Technologies’ paper losses to 7 billion dollars. The company, chaired by Tom Lee, holds 9.1 billion dollars worth of ETH and recently purchased 40.302 ETH.

Source: Dropslab

ETH Price Drops to 2,048 Dollars: Technical Analysis

ETH is currently trading at 2.048,61 dollars (+%9,21 in 24 hours). RSI at 29,59 is in the oversold region, but the overall trend is downward and Supertrend is giving a bear signal. EMA 20: 2.574 dollars. Strong supports: S1 1.998 dollars (high score, %2,44 away), S2 1.748 dollars. Resistances: R1 2.176 dollars (+%6,24). Click for detailed ETH analysis.

Negative Returns in BlackRock IBIT ETF and BTC Recovery

Investors in BlackRock’s iShares Bitcoin Trust (IBIT) ETF have turned to negative returns as Bitcoin (BTC) fell below 80.000 dollars; prices dropped to 75.000 dollars. However, in the last 15 hours, BTC rose %15 from 60.000 to 68.000 dollars. MicroStrategy CEO Phong stated that there will be no new contracts at prices below the average of 76.000 dollars, and debt repayment would be difficult in the worst-case 8.000 dollar scenario. Details on BTC futures here.

Source: Bob Elliott

Source: Julio Moreno

US Winter Storm Reduces Miners’ BTC Production

The late January winter storm in the US reduced public miners’ daily BTC production from 70-90 to 30-40 BTC. Companies like CleanSpark, MARA Holdings, Bitfarms, and Iris Energy were affected. This increased hash rate fluctuations.

Miners Pivoting to AI with the CoreWeave Model

CoreWeave pivoted from GPU mining to AI data centers with Ethereum’s transition from proof-of-work to proof-of-stake; it received a 2 billion dollar investment from Nvidia. This transition is serving as a model for miners like HIVE Digital, Hut 8, and MARA Holdings. In the future, ETH staking opportunities may increase.